techy

9/11 killed my company (a true story)

here's an interesting story I heard today -- from a former co-worker I haven't spoken to in around 10 years....

context: Before going to Microsoft in 1999, Susan and I worked at 'Next Generation Network' or NGN.  NGN was about "digital billboards" in public places like 7/11 stores.  We (a team of four led by me, including Susan) and a couple of contractors created a system for buying and distributing targeted ads in a way that was impossible for, say, TV:  Ads could be targeted to specific locations based on age, income, ethnicity etc. by zipcode or DMA (market area).  By 1998 or so we had our network in ~8000 7-11 stores, had raised over $100 million in venture capital and were well on our way.  (Yes, I know that there is a special place in Hell for people who introduce more advertising into the world, but it was fun to build!).  We were well-capitalized and our technology was well-regarded: we even entered our application in the 1999 "Windows World Open" competition at Comdex and won first place.

 Because of the telecom costs involved in running a huge "push media" network in locations where there is no internet access (we had to send ads over dedicated phone lines to each location), NGN burned through cash faster than they could earn it.  Financially the company was in a difficult spot, in spite of all the capital raised.

*anyway* -- after we left in 1999, NGN had a pilot program with McDonald's in 2001 where they placed our displays in 50 or so McDonald's locations as a pilot.  A computer in the back room @ each McDonald's had four video cards, each of which drove a display up by the register.  It showed the menu as well as ads etc. like always.  The pilot program was promising, and McDonald's agreed to go forward with a roll out of displays in more locations.  An agreement to roll out NGN displays to thousands of McDonald's locations could have saved the company.

The day the executives were to fly out and sign the agreement with McDonald's was 9/11/01.  

Of course, all flights were grounded on that day.  After 9//11, McDonald's grew skittish about the future economy and tabled all non-essential projects, including digital ad displays in restaurants.  They paid for the cost of the pilot but shelved the initiative.

A few months later, NGN was bought by Regal Cinema for pennies on the dollar of value, and most of the 120 or so employees were laid off... a victim of 9/11, albeit an indirect one.

Interestingly, the story has a somewhat happy ending:  The technology was repurposed for pushing digital ads and previews to cinemas, and the company became National Cinemedia.  Today, it is in virtually every theater in the US, and some of the NGN employees who worked with us back in the day are now running the show for National Cinemedia.  A lot of the technology we created over 10 years ago is still being used.

Of course, every time you see some stupid advert before a film, you can curse us for it.  I know I would, if I were you.

on net neutrality and google-verizon

I’m still trying to get my head around the Google-Verizon Net Neutrality proposal, and what it actually means, but in the meantime, here’s a few links on the topic from some people who know more about the topic than I ever will:

Dan Gillmor:  Ominous references to the "public Internet" inescapably suggest something else entirely:

The right way forward is to have sufficient bandwidth that we can do pretty much anything we choose using public networks -- a true broadband infrastructure where packet-switched services (moving data around, at super-fast speeds, in little packages that are reassembled at the user's device) are the basis for all communications.

Instead, the game is on to create a parallel Internet. It'll still be packet-switched. But they won't call it the Internet anymore. That's an end game we should not encourage.

John Bergmayer/ Public Knowledge  : there’s a lot that’s bad about this proposal, and it shouldn’t form the basis of legislation in Congress or of rules by the FCC.:

The companies seem to want to divide the Internet yet further—not just between wired and wireless, but between “the public Internet” and “additional online services.” Thus, “third party paid prioritization” is allowed—a particular online service might pay Verizon so that its services and content reach customers sooner.  According to the proposal, these “additional online services” may “make use of or access Internet content, applications or services and could include traffic prioritization.” According to Ivan Seidenberg of Verizon, these can even include entertainment content—he gave examples including a local opera house paying so that its operas are given prioritization, and 3D video.

Stacey Higginbotham:   Tech companies, Google sold you out:

…the wireless compromise will likely have a huge impact on firms like Skype, Pandora and mobile video services that are relying on the growth of the mobile Internet to boost their businesses. The inability to enforce network neutrality on wireless devices opens the gateway for carrier blocking of certain applications delivered via the web to wireless handsets. Sure, the framework notes operators have to be transparent, but firms have been transparent about blocking VoIP services like Skype from their networks for years.